5 Tips for Reducing Export Shipping Costs:

Table of Contents

  1. Factors Influencing eCommerce Export From India

   - Shipment Weight

   - Delivery Speed

   - Shipping Insurance

   - Customs & Duty Tariffs

   - Multi-Order Shipping

  1. Five Ways eCommerce Businesses Can Reduce Shipping Costs

   - Pack Light and Use Smaller Boxes

   - Ship in Bulk

   - Opt for In-House Insurance

   - Choose from Multiple Courier Options

   - Look for All-Inclusive Shipping Solutions

For small and medium-sized businesses engaged in global shipping, minimizing transportation costs is a crucial priority. These businesses face budgetary challenges at every step, including fuel charges, machinery, raw material procurement, and store setup.

Factors Influencing eCommerce Export From India

  1. Shipment Weight: Shipping calculators consider the size, dimensions, and weight of parcels. Discrepancies in weight can result in additional costs during customs clearance, with heavier shipments incurring higher shipping expenses.

  1. Delivery Speed: The choice of delivery speed impacts shipping costs. While standard delivery options exist, express delivery services are available at a higher cost.

  1. Shipping Insurance: Shipping to incorrect addresses or damage during transit are common risks. Having shipping insurance is essential to cover these potential issues, as it is more cost effective than replacing or reshipping the order.

  1. Customs & Duty Tariffs: Shipping costs also depend on the destination and the customs taxes associated with it. Different locations have varying duty tariffs and de minimis values.

  1. Multi-Order Shipping: Shipping multiple orders to the same destination on different timelines and delivery dates can lead to varying shipping costs. Each shipment requires a tailored plan based on timelines, packaging materials, and weight.

Five Ways eCommerce Businesses Can Reduce Shipping Costs

  1. Pack Light and Use Smaller Boxes: Opt for minimal packaging materials, such as air pillows, to protect shipments while keeping the overall weight low. Use plastic bags for liquid-based items to avoid spillage. Select boxes that are slightly larger than the shipment to minimize the need for fillers.

  1. Ship in Bulk: Shipping multiple items together is more cost-effective, convenient, and trackable than sending individual items separately. Discounts on shipping rates are often available for bulk orders.

  1. Opt for In-House Insurance: For high-value and fragile shipments, consider the security cover provided by your shipping partner rather than third-party insurance. In-house insurance is typically more affordable, with aggregated shipping solutions offering approximately 25% lower costs than third-party providers.

  1. Choose from Multiple Courier Options: Partner with a cross-border shipping aggregator to negotiate the best shipping mode based on delivery speed, cost, and regulatory requirements. Platforms like Shiprocket X offer multiple courier options for international shipping.

  1. Look for All-Inclusive Shipping Solutions: If same-day pickups are essential, select shipping companies that provide rapid pickups from any business location. Immediate processing helps resolve weight and volume discrepancies before customs clearance, ensuring smooth export shipping.

Reducing export shipping costs requires careful consideration of these factors and implementing strategies that optimize packaging, shipping methods, and insurance options. By adopting these practices, eCommerce businesses can enhance their cost-efficiency in global shipping operations.

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